On November 5, the Vietnamese government notified the
three Japanese-affiliated manufacturers of motorcycles in Vietnam of
the government's policy decision to provide a supplementary quota allowing
the import of motorcycle parts.

In response, the Japan Automobile Manufacturers Association
(JAMA) wishes to express its view that the expanded quotas have nevertheless
been set at disappointingly low levels for the current year, and that
this outcome results from the Vietnamese government's delay in addressing
issues raised by its announcement on September 4.

Vietnam's shift in policy with respect to the import
of motorcycle parts does, however, appear to clear the way for the aforementioned
companies to resume local production operations, whose temporary suspension
as a consequence of the September 4 announcement was a source of serious
concern to JAMA.

To enable these companies to resume plant operations
promptly, JAMA hopes that all related procedures including customs clearance
will be carried out with optimum efficiency.

JAMA intends to closely monitor the important changes
that are expected in Vietnam's motorcycle policies as of next year and
stands ready to appeal to the Vietnamese authorities should such action
be necessary.

JAMA is now appealing to the Vietnamese government to
give all due consideration to the formulation of its anticipated new
policies targeting the motorcycle industry in the interest of avoiding
situations that could jeopardize JAMA member manufacturers' future investment
activities in Vietnam and their beneficial contribution to the Vietnamese
economy.